Open Text (NASDAQ:OTEX) Raised to Buy at Zacks Investment Research

Zacks Investment Research upgraded shares of Open Text (NASDAQ:OTEX) (TSE:OTC) from a hold rating to a buy rating in a research report report published on Thursday, Zacks.com reports. Zacks Investment Research currently has $48.00 price objective on the software maker’s stock.

According to Zacks, “Open Text Corporation is engaged in development of innovative intranet, extranet and e-Business applications. Since creating one of the first search engines to index the World Wide Web, the company has remained at the forefront of Internet-based technologies. Open Text solutions allow individuals, teams, organizations, and global trading communities to collaborate on projects, share ideas and accelerate innovation to the fastest possible speed. Open Text Corporation is headquartered in Waterloo, Canada. “

OTEX has been the subject of a number of other research reports. BidaskClub raised ZIX from a buy rating to a strong-buy rating in a research report on Friday, May 3rd. Raymond James reissued a buy rating and set a $21.00 price objective on shares of Colfax in a research report on Thursday, May 2nd. Two equities research analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. The company currently has a consensus rating of Buy and a consensus price target of $46.09.



Shares of Open Text stock opened at $42.50 on Thursday. The firm has a market capitalization of $11.46 billion, a PE ratio of 41.67 and a beta of 0.48. The stock has a fifty day simple moving average of $41.13. The company has a current ratio of 1.38, a quick ratio of 1.38 and a debt-to-equity ratio of 0.68. Open Text has a 12 month low of $30.99 and a 12 month high of $43.14.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its quarterly earnings data on Wednesday, May 1st. The software maker reported $0.27 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.08 by $0.19. The firm had revenue of $719.10 million during the quarter, compared to analysts’ expectations of $710.47 million. Open Text had a return on equity of 7.31% and a net margin of 9.57%. The business’s revenue for the quarter was up 4.8% on a year-over-year basis. During the same quarter last year, the firm earned $0.54 earnings per share. As a group, research analysts anticipate that Open Text will post 1.16 earnings per share for the current fiscal year.

The company also recently disclosed a quarterly dividend, which was paid on Friday, June 21st. Investors of record on Friday, May 31st were given a dividend of $0.1746 per share. This is a boost from Open Text’s previous quarterly dividend of $0.12. The ex-dividend date of this dividend was Thursday, May 30th. This represents a $0.70 dividend on an annualized basis and a yield of 1.64%. Open Text’s dividend payout ratio (DPR) is presently 76.92%.

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Signaturefd LLC lifted its position in shares of Open Text by 6.6% in the first quarter. Signaturefd LLC now owns 4,948 shares of the software maker’s stock worth $190,000 after buying an additional 306 shares during the last quarter. Shine Investment Advisory Services Inc. lifted its position in shares of Open Text by 18.3% in the first quarter. Shine Investment Advisory Services Inc. now owns 2,622 shares of the software maker’s stock worth $101,000 after buying an additional 405 shares during the last quarter. Meridian Wealth Management LLC acquired a new stake in shares of Open Text in the first quarter worth about $25,000. Zions Bancorporation N.A. acquired a new stake in shares of Open Text in the first quarter worth about $27,000. Finally, CLARET ASSET MANAGEMENT Corp lifted its position in shares of Open Text by 8.6% in the first quarter. CLARET ASSET MANAGEMENT Corp now owns 10,881 shares of the software maker’s stock worth $418,000 after buying an additional 860 shares during the last quarter. 67.41% of the stock is owned by hedge funds and other institutional investors.

About Open Text

Open Text Corporation provides a suite of software products and services. The company offers content services; digital process automation, which enables organizations to transform into digital and data-driven businesses through automation; and discovery suite that provides forensics and unstructured data analytics for searching, collecting, and investigating enterprise data to manage legal obligations and risk.

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